Economic Comparisons

A recent study by the Environmental Protection Agency found that geothermal systems have the lowest life-cycle cost of any heating or cooling system available today. Though geothermal is typically more expensive to install than traditional HVAC, the initial investment cost is far outweighed by the long-term cost savings. In fact, geothermal systems frequently pay for themselves within five years—while some systems pay for themselves in as little as two years and in almost every circumstance the payback is under 10 years.

While initial cost is a consideration, there are now many federal and state incentive programs offered for utilizing geothermal systems—so initial costs can sometimes be partially offset by tax and other savings. You can view details of incentive programs by visiting http://www.geoexchange.org/incentives/incentives.htm.